Beach, Senex to build $40m oil pipeline

Beach Energy
has committed to building a new $40 million pipeline to transport oil from the growing number of producing fields in the Western Flank area of the Cooper Basin in central Australia.

Beach signed an agreement with explorer Senex Energy to tie in the producing Growler field to the Lycium oil field and also agreed to construct a trunkline from Lycium to its Moomba plant, subject to approval from the Cooper Basin joint venture partners led by
Santos
.

The capacity of the pipeline between Growler and Lycium will be about 8000 barrels a day and the trunkline will carry about 15,000 barrels a day to Moomba.

The cost of the new lines will be shared between Beach and Senex.

Growler was one of the fields that was cut off during last year’s flooding in the Cooper Basin, reducing oil production from the region because roads were impassable.

The new trunkline will also enable increased flows to Moomba from the PEL 91 and PEL 92 tenements, where Beach and its partners have seen exploration and appraisal successes at several fields.